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v3.20.1

Derivative Activities (Tables) | 3 Months Ended
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Mar. 31, 2020
Derivative Instruments And Hedging Activities Disclosure [Abstract] |
Derivative Volumes Hedged and Average Hedge Prices | The following table sets forth our commodity-based derivative volumes by year as of March 31, 2020, excluding our basis and freight swaps which are discussed separately below:
Period |  | Contract Type |  | Volume Hedged |  | Weighted Average Hedge Price
|  |  |  |  |  | Swap |  | Sold Put |  | Floor |  | Ceiling
Natural Gas |  |  |  |  |  |  |  |  |  |  |  |  |
2020 |  | Swaps |  | 1,155,600 Mmbtu/day |  | $ | 2.57 (1) |  |  |  |  |  |
2021 |  | Swaps |  | 50,000 Mmbtu/day |  | $ | 2.62 (1) |  |  |  |  |  |
April – June 2020 |  | Calls |  | 40,000 Mmbtu/day |  | $ | 2.30 |  |  |  |  |  |
April – October 2020 |  | Three-way Collars |  | 20,000 Mmbtu/day |  |  |  |  | $ 1.75 |  | $ 2.00 |  | $ 2.50
2021 |  | Three-way Collars |  | 240,000 Mmbtu/day |  |  |  |  | $ 1.99 |  | $ 2.31 |  | $ 2.60
Crude Oil |  |  |  |  |  |  |  |  |  |  |  |  |
2020 |  | Swaps |  | 7,331 bbls/day |  | $ | 58.22 (1) |  |  |  |  |  |
2021 |  | Swaps |  | 1,000 bbls/day |  | $ | 55.00 (1) |  |  |  |  |  |
April – September 2020 |  | Calls |  | 500 bbls/day |  | $ | 59.00 |  |  |  |  |  |
NGLs (C3-Propane) |  |  |  |  |  |  |  |  |  |  |  |  |
April – June 2020 |  | Swaps |  | 8,242 bbls/day |  | $ | 0.63/gallon |  |  |  |  |  |
NGLs (NC4-Normal Butane) |  |  |  |  |  |  |  |  |  |  |  |  |
April – September 2020 |  | Swaps |  | 2,913 bbls/day |  | $ | 0.57/gallon |  |  |  |  |  |
April – September 2020 |  | Calls |  | 2,251 bbls/day |  | $ | 0.57/gallon |  |  |  |  |  |
NGLs (iC4-Isobutane) |  |  |  |  |  |  |  |  |  |  |  |  |
April 2020 |  | Swaps |  | 2,000 bbls/day |  | $ | 0.64/gallon |  |  |  |  |  |
NGLs (C5-Natural Gasoline) |  |  |  |  |  |  |  |  |  |  |  |  |
April 2020 |  | Swaps |  | 1,500 bbls/day |  | $ | 1.21/gallon |  |  |  |  |  |
(1) | We also sold natural gas call swaptions of 120,000 Mmbtu/day for July – December 2020 at a weighted average price of $2.51 and 100,000 Mmbtu/day for 2021 at a weighted average price of $2.69. In addition, we sold oil call swaptions of 3,000 bbls per day for 2021 at a weighted average price of $56.50.
Combined Fair Value of Derivatives, by Consolidated Balance Sheets | The combined fair value of derivatives included in the accompanying consolidated balance sheets as of March 31, 2020 and December 31, 2019 is summarized below. The assets and liabilities are netted where derivatives with both gain and loss positions are held by a single counterparty and we have master netting arrangements. The tables below provide additional information relating to our master netting arrangements with our derivative counterparties (in thousands):
|  |  | March 31, 2020 |
|  |  | Gross Amounts of Recognized Assets |  |  | Gross Amounts Offset in the Balance Sheet |  |  | Net Amounts of Assets Presented in the Balance Sheet |
Derivative assets: |  |  |  |  |  |  |  |  |  |  |  |  |
Natural gas | –swaps |  | $ | 192,244 |  |  | $ | (448 | ) |  | $ | 191,796 |
| –swaptions |  |  | — |  |  |  | (3,719 | ) |  |  | (3,719 | )
| –calls |  |  | — |  |  |  | (23 | ) |  |  | (23 | )
| –three-way collars |  |  | 1,914 |  |  |  | (8,612 | ) |  |  | (6,698 | )
| –basis swaps |  |  | 5,597 |  |  |  | (436 | ) |  |  | 5,161 |
Crude oil | –swaps |  |  | 67,765 |  |  |  | (4,024 | ) |  |  | 63,741 |
| –swaptions |  |  | — |  |  |  | (11 | ) |  |  | (11 | )
| –calls |  |  | — |  |  |  | (6 | ) |  |  | (6 | )
NGLs | –C3 propane spread swaps |  |  | 23,039 |  |  |  | (22,388 | ) |  |  | 651 |
| –C3 propane swaps |  |  | 8,753 |  |  |  | — |  |  |  | 8,753 |
| –iC4 iso butane swaps |  |  | 673 |  |  |  | — |  |  |  | 673 |
| –NC4 normal butane swaps |  |  | 5,046 |  |  |  | — |  |  |  | 5,046 |
| –NC4 normal butane calls |  |  | — |  |  |  | (44 | ) |  |  | (44 | )
| −C5 natural gasoline swaps |  |  | 1,589 |  |  |  | — |  |  |  | 1,589 |
Freight | −swaps |  |  | — |  |  |  | (3,354 | ) |  |  | (3,354 | )
|  |  | $ | 306,620 |  |  | $ | (43,065 | ) |  | $ | 263,555 |
|  |  | March 31, 2020 |
|  |  | Gross Amounts of Recognized (Liabilities) |  |  | Gross Amounts Offset in the Balance Sheet |  |  | Net Amounts of (Liabilities) Presented in the Balance Sheet |
Derivative (liabilities): |  |  |  |  |  |  |  |  |  |  |  |  |
Natural gas | –swaps |  | $ | (448 | ) |  | $ | 448 |  |  | $ | — |
| –swaptions |  |  | (4,171 | ) |  |  | 3,719 |  |  |  | (452 | )
| –calls |  |  | (23 | ) |  |  | 23 |  |  |  | — |
| –three-way collars |  |  | (13,276 | ) |  |  | 8,612 |  |  |  | (4,664 | )
| –basis swaps |  |  | (777 | ) |  |  | 436 |  |  |  | (341 | )
Crude oil | –swaps |  |  | (4,024 | ) |  |  | 4,024 |  |  |  | — |
| –swaptions |  |  | (11 | ) |  |  | 11 |  |  |  | — |
| –calls |  |  | (6 | ) |  |  | 6 |  |  |  | — |
NGLs | –C3 propane spread swaps |  |  | (22,388 | ) |  |  | 22,388 |  |  |  | — |
| –NC4 normal butane calls |  |  | (44 | ) |  |  | 44 |  |  |  | — |
Freight | –swaps |  |  | (4,720 | ) |  |  | 3,354 |  |  |  | (1,366 | )
|  |  | $ | (49,888 | ) |  | $ | 43,065 |  |  | $ | (6,823 | )
|  |  | December 31, 2019 |
|  |  | Gross Amounts of Recognized Assets |  |  | Gross Amounts Offset in the Balance Sheet |  |  | Net Amounts of Assets Presented in the Balance Sheet |
Derivative assets: |  |  |  |  |  |  |  |  |  |  |  |  |
Natural gas | –swaps |  | $ | 134,364 |  |  | $ | (2,913 | ) |  | $ | 131,451 |
| –swaptions |  |  | — |  |  |  | (1,325 | ) |  |  | (1,325 | )
| –basis swaps |  |  | 10,766 |  |  |  | (1,092 | ) |  |  | 9,674 |
Crude oil | –swaps |  |  | 3,893 |  |  |  | (4,794 | ) |  |  | (901 | )
| –swaptions |  |  | — |  |  |  | (1,597 | ) |  |  | (1,597 | )
| –calls |  |  | — |  |  |  | (349 | ) |  |  | (349 | )
NGLs | –C3 propane spread swaps |  |  | 1,913 |  |  |  | (1,913 | ) |  |  | — |
| –NC4 butane swaps |  |  | 167 |  |  |  | — |  |  |  | 167 |
| –C5 natural gasoline swaps |  |  | 60 |  |  |  | (127 | ) |  |  | (67 | )
Freight | –swaps |  |  | 1,529 |  |  |  | (1,028 | ) |  |  | 501 |
|  |  | $ | 152,692 |  |  | $ | (15,138 | ) |  | $ | 137,554 |
|  |  | December 31, 2019 |
|  |  | Gross Amounts of Recognized (Liabilities) |  |  | Gross Amounts Offset in the Balance Sheet |  |  | Net Amounts of (Liabilities) Presented in the Balance Sheet |
Derivative (liabilities): |  |  |  |  |  |  |  |  |  |  |  |  |
Natural gas | –swaps |  | $ | (1,657 | ) |  | $ | 2,913 |  |  | $ | 1,256 |
| –swaptions |  |  | (2,594 | ) |  |  | 1,325 |  |  |  | (1,269 | )
| –basis swaps |  |  | (1,371 | ) |  |  | 1,092 |  |  |  | (279 | )
Crude oil | –swaps |  |  | (4,814 | ) |  |  | 4,794 |  |  |  | (20 | )
| –swaptions |  |  | (2,254 | ) |  |  | 1,597 |  |  |  | (657 | )
| –calls |  |  | (349 | ) |  |  | 349 |  |  |  | — |
NGLs | –C3 propane spread swaps |  |  | (16,040 | ) |  |  | 1,913 |  |  |  | (14,127 | )
| –C5 natural gasoline swaps |  |  | (127 | ) |  |  | 127 |  |  |  | — |
Freight | –swaps |  |  | — |  |  |  | 1,028 |  |  |  | 1,028 |
|  |  | $ | (29,206 | ) |  | $ | 15,138 |  |  | $ | (14,068 | )
Effects of Derivatives on Consolidated Statements of Operations | The effects of our derivatives on our consolidated statements of operations are summarized below (in thousands):
|  | Derivative Fair Value Income (Loss) |  |
|  | Three Months Ended March 31, |  |
| 2020 |  |  |  | 2019 |  |
Commodity swaps | $ | 228,354 |  |  | $ | (57,418 | ) |
Swaptions |  | 666 |  |  |  | (3,291 | ) |
Three-way collars |  | (11,362 | ) |  |  | — |  |
Collars |  | — |  |  |  | (4,524 | ) |
Calls |  | 275 |  |  |  | — |  |
Basis swaps |  | 21,343 |  |  |  | 3,415 |  |
Freight swaps |  | (6,101 | ) |  |  | 87 |  |
Total | $ | 233,175 |  |  | $ | (61,731 | ) |

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